IRS Type 1099-R (Distributions From Pensions, Annuities, Retirement or Revenue-Sharing Plans, IRAs, Insurance coverage Contracts, and so on.) (2022); IRS Type 5498 (IRA Contribution Data) (2022); Directions for Kinds 1099-R and 5498 (2022); Basic Directions for Sure Data Returns (Kinds 1096, 1097, 1098, 1099, 3921, 3922, 5498, and W-2G) (2022)
The 2022 Kinds 1099-R and 5498 and their mixed directions turned out there in 2021, however the normal directions for submitting these (and sure different) info returns have now additionally been launched, finishing the steerage wanted for submitting. Type 1099-R is used to report designated distributions from retirement plans, annuities, IRAs, and different sources. Type 5498 is used to report contributions to IRAs (together with deemed IRAs inside a professional plan), and sure different IRA-related info, together with truthful market worth and required minimal distributions. The 2022 variations of those kinds shall be filed with the IRS and furnished to distribution recipients and IRA homeowners and beneficiaries in 2023 for occasions occurring in 2022. Adjustments for 2022 embody—
Kinds 1099-R and 5498. Adjustments are restricted to updating yr references and eradicating the year-specific supply and submitting deadlines. As a substitute, the kinds now refer customers to the Basic Directions for due date info.
Directions for Kinds 1099-R and 5498. There are just a few adjustments, solely a few of which can have an effect on 401(okay) plan sponsors and plan directors.
Basic Directions. Dates and relevant penalty quantities have been up to date. As well as, payers are alerted to a number of coming adjustments.
- Digital Submitting Threshold. The directions be aware that the IRS has been approved to decrease the 250-return threshold for digital submitting of 2022 info returns, however last rules haven’t been issued. (Rules have been proposed in July 2021 (see our Checkpoint article).) The edge stays unchanged except last rules are issued that apply to 2022.
Submitting Portal. An web portal for preparation, submitting, and distribution of all Kinds 1099 ought to be out there beginning in 2023.
Steady Use Kinds. Type 1098 and sure 1099-series kinds have been transformed to steady use and can, going ahead, be revised solely as wanted. Type 1099-R, nevertheless, will proceed to be up to date yearly.
EBIA Remark: Certified plan distributions of $10 or extra in 2022 should be reported to the IRS on this model of Type 1099-R. The deadline for offering the 2022 Type 1099-R to plan individuals and beneficiaries is January 31, 2023. Copy A should be filed with the IRS by February 28, 2023, for scannable paper filings, and by March 31, 2023, for digital filings. The 2022 Type 5498 usually should be filed and supplied by Could 31, 2023, however some info (concerning truthful market worth and required minimal distributions) should be furnished by January 31, 2023. Copy A filings on paper should be ready utilizing the official printed variations of the kinds obtained from the IRS. Makes an attempt to file nonscannable photocopies of the kinds could end in penalties. For extra info, see EBIA’s 401(okay) Plans handbook at Sections VIII.G (“After-Tax and Deemed IRA Contributions”) and XIV.R (“Reporting Distributions on Type 1099-R”).
Contributing Editors: EBIA Workers.
